Notes to SEFA
Title: Loan/loan guarantee outstanding balances.
Accounting Policies: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - This summary of significant accounting policies of Villa Teresa, Inc. is presented to assist in understanding Villa Teresa, Inc's Schedule of Expenditures of Federal Awards. The Schedule and notes are representations of Villa Teresa, Inc's management, who is responsible for their integrity and objectivity. Basis of Accounting and Presentation - The Schedule of Expenditures of Federal Awards is prepared using the accrual basis of accounting. Sub-Recipients - There were no sub-recipients of the Federal Awards received by Villa Teresa, Inc. for the year ended September 30, 2022. Indirect Costs - Villa Teresa, Inc. does not currently have a negotiated indirect cost reimbursement rate approved by a Federal Cognizant Agency. Therefore, the Organization has elected to use the de minimis rate of 10% of modified total direct costs as an indirect cost allocation factor, as allowed under 2C.F.R. ?200.414.
De Minimis Rate Used: Y
Rate Explanation: The auditee used the de minimis cost rate.
MORTGAGE INSURANCE FOR THE PURCHASE OR REFINANCING OF EXISTING MULTIFAMILY HOUSING PROJECTS (14.155) - Balances outstanding at the end of the audit period were $1,806,370.